During this time, the lithium miner's shares have lost almost a third of their value.

Has this created a buying opportunity for investors? Let's see what Goldman Sachs is saying about the lithium giant after reinstating coverage on the company this morning.

What is the broker saying?

According to the note, the broker highlights that Pilbara Minerals has just completed the acquisition of Latin Resources Ltd (ASX: LRS).

This adds the promising Colina Project in Brazil to Pilbara Minerals' portfolio. Commenting on the deal, the broker said:

We now include the Colina project in our estimates, which we see as marginally accretive to our NAV, where we broadly factor in LRS' Preliminary Economic Assessment (PEA; Sep-23) initial production profile and expansion to 3.6Mtpa throughput on a more conservative timeline (FID late 1H CY26, with an ~18 month build, expansion rate from ~FY30E) and opex & capex (~50% overrun on PEA capex estimates), adjusting for the subsequently expanded resource base.

We see this supporting combined spodumene and low grade production of ~550-650ktpa SC6 over FY30-35E on an aggregate unit cost of ~US$600-700/t SC6, where we note our global mining team's feedback from a trip to the Brazil Lithium Valley highlighted a more constructive view of the potential in the Minas Gerais region.

Is the Pilbara Minerals share price good value?

The note reveals that Goldman believes investors should wait for a more attractive entry point before making an investment.

The broker has reinstated coverage on the company's shares with a neutral rating and $2.10 price target.

Based on its current share price of $2.33, this implies potential downside of 10% for investors over the next 12 months.

Commenting on its neutral recommendation, Goldman said:

We reinstate PLS with a Neutral rating relative to our lithium coverage (~1x NAV & pricing ~US$1,190/t LT spodumene vs. peers at ~1x & ~US$1,125/t), with our 12m PT of A$2.10/sh implying -8% TSR.

We see medium-term FCF remaining subdued, where though the roll off project spend and ramp up of P1000 supports a return to modest FCF generation over FY26/27E (~1-2% FCF yield), ongoing stripping and tailings spend combined with new projects at Colina and then Pilgangoora sees FCF dip (c. -3% yield), deferring meaningful cash generation (~10% yield) to the end of the decade. We note capex and execution risk remains across both projects, where uncertain project timing/a preference for remaining net cash and preserving balance sheet strength may defer value realisation.

The post What is Goldman Sachs saying about the Pilbara Minerals share price? appeared first on The Motley Fool Australia.

In afternoon trade, the lithium miner's shares are up 3% to $2.30.

Why are Pilbara Minerals shares rising today?

A number of ASX lithium stocks are rising today as investor sentiment improves after yesterday's trade tariff induced selloff.

In addition, the company made an announcement today that may have gone down well with the market.

According to the release, Pilbara Minerals has completed its acquisition of Latin Resources (ASX: LRS) by way of a scheme of arrangement.

The all-scrip deal has seen the company issue 205,521,136 new shares to Latin Resources shareholders. This values the lithium developer at approximately $473 million.

Management believes that the completion of the acquisition of Latin Resources, and its flagship Colina Project, marks a significant milestone in the company's history. It highlights that it is consistent with its strategy to grow and diversify revenues beyond the Pilgangoora operation in the Pilbara.

It also notes that the Colina Project has the potential to become a leading hard rock lithium operation by production globally and is located in the world class mining jurisdiction of Minas Gerais, Brazil, with development flexibility to supply new markets.

Pilbara Minerals' managing director and CEO, Dale Henderson, said:

On behalf of the PLS Board of Directors and the leadership team, we would like to welcome Latin Resources team members and securityholders joining PLS. We are excited by the opportunities ahead at our Colina Project in Brazil. The PLS team is looking forward to working with our new colleagues in Brazil to advance project studies and resume drilling activities, which will support the future development of the Colina Project.

The completion of this acquisition marks a significant milestone for PLS, providing us with our second 100% owned, high quality, hard rock lithium asset. This asset is expected to be low-cost and accretive for our shareholders, offering us the flexibility to sequence new supply and diversify into emerging growth markets for lithium, such as Europe and North America.

What's next?

Management advised that it has worked closely with the Latin Resources team to develop an integration plan to assist with a seamless integration.

It is now conducting a review to evaluate opportunities to further optimise the Colina Project. The company's team will work closely with its new in-country Brazilian team to complete the review.

This will inform project design and development studies incorporating key learnings from Pilgangoora and other producers in Brazil, and building off the work completed by the in-country team to date.

The post Why are Pilbara Minerals shares storming higher today? appeared first on The Motley Fool Australia.

The lithium miner's shares rose over 3% to end the session at $2.36.

Investors were buying the company's shares after responding positively to its quarterly update.

Broker reaction

Bell Potter was very pleased with the update, highlighting that the company delivered a "strong beat" to its estimates despite moving to the P850 operating model. Commenting on the quarter, the broker said:

PLS reported quarterly spodumene concentrate (SC) production of 188kt (BP est. 168kt) and sales of 204kt at 5.3% Li2O (BP est. 168kt); a strong beat to our estimates despite the implementation of the smaller 'P850' operating model which included the idling of the Ngungaju processing plant. Realised pricing improved to US$796/t (SC6 basis), or a 97% realisation to Fastmarket's SC6 index.

This compares with historical realisation in the mid-80%s; higher realisation should continue under renegotiated offtake terms. At 31 December 2024, PLS held cash of $1.2b (prior quarter $1.4b) and available liquidity of around $1.8b, following quarterly capex of $222m largely related to the P1000 expansion project.

Bell Potter also highlights that the deal to acquire Latin Resources Ltd (ASX: LRS) is nearing completion and provides Pilbara Minerals with an opportunity to enter the North American market. It said:

On 4 February 2025, the acquisition of Latin Resources is expected to complete, providing relatively low-cost development optionality and potential to integrate into North American markets. PLS will progress development studies and Mineral resource delineation, aiming to ready itself to capitalise once lithium market conditions strengthen.

Should you buy Pilbara Minerals shares?

In response to the update, the broker has reaffirmed its buy rating on the company's shares with a modestly improved price target of $3.00 (from $2.95).

Based on the current Pilbara Minerals share price of $2.36, this implies potential upside of 27% for investors over the next 12 months.

And while no dividends are expected in FY 2025, the broker sees scope for payouts to return in a couple of years in FY 2027.

Commenting on its bullish view of the stock, the broker said:

PLS operates a low-cost asset in a tier one jurisdiction, is diversifying through the lithium value chain, and provides a clean exposure to global lithium fundamentals and sentiment. While we expect lithium prices to remain volatile, we hold a robust EVdemand driven long-term market outlook. We believe higher prices are required to incentivise new sources of supply to moderate our forecast market shortfalls from 2026-27.

The post Are Pilbara Minerals shares a top buy after 'strong beat'? appeared first on The Motley Fool Australia.

Meantime, these four ASX All Ordinaries companies are streaking ahead of their peers today.

Here's why.

4 ASX All Ordinaries shares smashing it on Tuesday

Brainchip Holdings Ltd (ASX: BRN)

Brainship shares are one of the strongest risers within the ASX All Ordinaries on Tuesday.

The Brainchip share price is up 11.36% to 25 cents at the time of writing.

The ASX All Ordinaries tech share is an outlier amid a 3.88% rout for the S&P/ASX 200 Information Technology Index (ASX: XIJ).

The share price boost follows news from the semiconductor company of a $1.8 million contract win in the United States.

The contract is with the Air Force Research Laboratory for neuromorphic radar signalling processing.

Brainchip shares have risen 29% over the past 12 months.

Latin Resources Ltd (ASX: LRS)

ASX All Ordinaries lithium share Latin Resources shot 21.4% higher to an intraday peak of 17 cents today.

It has since pulled back to 16 cents per share, up 8.3%.

Latin Resources shares are higher as the market celebrates the potential impact of new economic stimulus in China, which is the world's biggest producer of electric vehicles.

China held its monthly Politburo meeting yesterday and surprised the market with strong statements regarding new stimulus measures for 2025.

Stimulus in China usually leads to higher demand for resources, which tends to push up commodity values and boost the earnings of ASX miners and other exporters.

Overnight, there was a 0.42% lift in the lithium hydroxide price to US$9,489.70 per tonne and a 0.52% fall in the lithium carbonate price to US$10,536.46 per tonne.

This ASX All Ordinaries mining share is down 28.6% over the past year.

Develop Global Ltd (ASX: DVP)

Develop Global is another lithium miner benefitting from the China stimulus news today.

The Develop Global share price is up 11.76% to $2.47 in afternoon trading on Tuesday.

The company also announced the completion of a $100 million loan facility with Trafigura today.

Develop and Trafigura have also executed a five-year offtake agreement.

This ASX All Ordinaries mining share has fallen by around 17% over the past 12 months.

Firefly Metals Ltd (ASX: FFM)

Firefly is another ASX All Ordinaries lithium mining share.

The Firefly Metals share price is currently 13.07% higher at $1.142.

The stimulus news out of China is a likely contributor to Firefly's performance today.

However, investors are also likely responding to the latest round of drilling results from the Green Bay Copper-Gold Project in Canada, released today.

Firefly described the results as "spectacular".

The miner said it had drilled its best hole yet with an assay of 86.3 metres at 3.7% CuEq.

Firefly shares have shot around 115% higher over the past year.

The post 4 ASX All Ordinaries shares rocketing over 10% today appeared first on The Motley Fool Australia.

The S&P/ASX 200 Materials Index (ASX: XMJ) is the leading market sector today, up 3.34%. Meanwhile, the benchmark S&P/ASX 200 Index (ASX: XJO) is down 0.42%.

According to the Australian Financial Review (AFR), Morgan Stanley economist Robin Xing said yesterday's Politburo meeting in China "sent the most aggressive stimulus tone in a decade".

The Politburo, which meets once per month, said it would introduce measures to boost domestic consumption and stabilise the property market and Chinese share market.

This comes ahead of the important Central Economic Work Conference, which begins on Wednesday. At the conference, new year priorities will be set, including China's 2025 target for economic growth.

ASX mining shares in the green on Tuesday

ASX iron ore shares are well into the green today, with BHP Group Ltd (ASX: BHP) shares up 3.92% to $42.18 and Fortescue Ltd (ASX: FMG) shares up 6.68% to $20.54.

Rio Tinto Ltd (ASX: RIO) shares are up 4.97% to $125.43, while iron ore and lithium miner Mineral Resources Ltd (ASX: MIN) has lifted 6.23% to $36.32.

In overnight trading, there was a 2.15% lift in the CNY iron ore price to US$111.35 per tonne. The 62% iron ore price fell 2.05% to US$104.11 per tonne.

ASX gold shares are also rising today. The gold price is currently trading at US$2,659.16, up 0.99%. Yesterday, gold hit new record levels at around US$2,675 per tonne.

In today's trading:

• The Northern Star Resources Ltd (ASX: NST) share price is up 2.12% to $16.86
• The Newmont Corporation CDI (ASX: NEM) share price is up 1.62% to $65.09
• The Evolution Mining Ltd (ASX: EVN) share price is up 3.37% to $5.21

Analysts at Trading Economics explained that the gold price was rising due to its safe-haven appeal amid renewed geopolitical tensions in the Middle East, as well as China resuming gold purchases.

ASX copper shares are in the green following a 1.56% bump in the copper price to US$4.20 per pound.

• Sandfire Resources Ltd (ASX: SFR) shares are up 3.66% to $10.49
• Red Metal Ltd (ASX: RDM) shares are up 4.55% to 12 cents
• Firefly Metals Ltd (ASX: FFM) shares are up 12.03% to $1.13

What about ASX lithium shares?

ASX lithium shares are also responding to the news from China, given it is the world's top producer of electric vehicles.

• Pilbara Minerals Ltd (ASX: PLS) shares are up 7.67% to $2.32
• IGO Ltd (ASX: IGO) shares are up 4.64% to $5.19
• Liontown Resources Ltd (ASX: LTR) shares are up 3.28% to 63 cents
• Latin Resources Ltd (ASX: LRS) shares are up 10.34% to 16 cents
• Sayona Mining Ltd (ASX: SYA) shares are up 3.45% to 3 cents
• Syrah Resources Ltd (ASX: SYR) shares are up 4.17% to 25 cents
• Vulcan Energy Resources Ltd (ASX: VUL) shares are up 4.88% to $6.45
• Patriot Battery Metals Inc (ASX: PMT) shares are up 6.35% to 34 cents

Overnight, there was a 0.42% lift in the lithium hydroxide price to US$9,489.70 per tonne and a 0.52% decline in the lithium carbonate price to US$10,536.46 per tonne.

The post Why are ASX mining shares going gangbusters today? appeared first on The Motley Fool Australia.

Here's what's happening.

ASX 300 shares defying today's market malaise

Despite the broader market malaise today, the Latin Resources Ltd (ASX: LRS) share price is charging higher.

The lithium focused ASX 300 share closed yesterday trading for 19 cents. At time of writing, shares are changing hands for 20 cents apiece, up 5.3%.

There's been no fresh price-sensitive news from the company since the end of October. But the miner could be benefiting from some broader outperformance in the lithium space today. Liontown Resources Ltd (ASX: LTR) shares, for example, are up 1.2%, while Mineral Resources Ltd (ASX: MIN) shares are up 2.8%, and Pilbara Minerals Ltd (ASX: PLS) shares are up 2.1%.

Which brings us to our second outperforming ASX 300 share, Resolute Mining Ltd (ASX: RSG).

Resolute Mining shares closed yesterday at 42 cents. In earlier trade, they were trading for 46 cents apiece, up 9.5%. After some likely profit-taking, shares are currently swapping hands for 43.5 cents each, up 3.6%.

This follows yesterday's gains of 10.5%.

Investor enthusiasm appears to have been roused amid news that the Aussie gold miner had signed a memorandum of understanding with the Mali government after its CEO was detained in the African nation.

Macquarie then reaffirmed its outperform rating with a 57 cent price target on Resolute Mining's shares. That represents another 31% potential upside from current levels.

Rounding off the list of surging ASX 300 shares today is NexGen Energy Ltd (ASX: NXG).

Shares in the Canadian-based uranium explorer closed yesterday at $12.18 and are currently trading for $13.15 each, up 8.0%.

Today's strong performance comes after the company announced that the Canadian Nuclear Safety Commission (CNSC) has confirmed NexGen's successful completion of the final Federal technical review for its 100%-owned Rook I uranium mine project.

The company noted that this is a key requirement for scheduling a Federal Commission Hearing date and subsequent Federal Project approval decision for the project.

Commenting on regulatory progress sending the ASX 300 share leaping higher today, NexGen CEO Leigh Curyer said, "We are construction ready to deliver transformative and unprecedented social, economic and environmental benefits to local communities, the province of Saskatchewan, Canada, and the world."

Curyer added:

We're not just developing a mine, we're building strong communities while shaping a sustainable and secure global energy future.

With over $800 million in cash and liquid assets, we are ready pending a positive Commission decision with all activities required to immediately commence major site works in place.

The post 3 ASX 300 shares going gangbusters on Wednesday appeared first on The Motley Fool Australia.

The star performers among the ASX lithium producers today are as follows:

• Latin Resources Ltd (ASX: LRS) shares are up 10.81% to 21 cents
• Sayona Mining Ltd (ASX: SYA) shares are up 6.45% to 3.3 cents
• Liontown Resources Ltd (ASX: LTR) shares are up 4.76% to 88 cents
• Pilbara Minerals Ltd (ASX: PLS) shares are up 4.22% to $3.09

We're also seeing modest gains for some other ASX lithium stocks today.

At the time of writing, Core Lithium Ltd (ASX: CXO) shares are up 2% to 10 cents, and IGO Ltd (ASX: IGO) is up 1.25% to $5.27. The Arcadium Lithium CDI (ASX: LTM) share price is also up 0.74% to $8.14.

These share price gains are even more impressive when you consider that the S&P/ASX All Ordinaries Index (ASX: XAO) is down 0.3% today.

What's driving these 4 ASX lithium shares higher?

Several US-listed lithium stocks rallied overnight, so this may be behind local moves northwards today.

Albemarle Corporation (NYSE: ALB) shares rose 9.57% to $110.49 per share overnight.

Sociedad Quimica y Minr de Chile SA (NYSE: SQM) rose 4.15% to $38.19.

US lithium small-cap share Lithium Americas Corp (NYSE: LAC) lifted 7.91% to $4.23.

My colleague James also surmises that today's buying may indicate that investors think these four ASX lithium shares have been oversold in recent months and are now rebounding.

Check this out:

• Latin Resources shares are down 19% over the past six months and up 1% over the past month
• Sayona Mining shares are down 20% over the past six months and up 7% over the past month
• Liontown shares are down 37% over the past six months and up 5% over the past month
• Pilbara Minerals shares are down 25% over the past six months and up 7% over the past month

China stimulus likely to benefit ASX lithium shares, says expert

As we recently reported, Janus Henderson's Darko Kuzmanovic thinks China's recent stimulus measures — and any more to come — are likely to benefit lithium shares more than iron ore and coal stocks.

He thinks ASX lithium shares "look oversold" amid a short-term global oversupply, and "we're seeing a bottom as far as the commodity prices is concerned".

Kuzmanovic explained his views:

China is undertaking a shift away from urbanisation spend to higher-value manufacturing, which you can see in its battery manufacturing for electric vehicles and building its own superconductor chips – so it's deploying more innovation technology to its next phase of economic growth.

The implications of that are bulk commodities like iron ore won't have the demand they've had in the past, but things like copper, nickel and other battery materials will have demand drivers going forward.

Is there any news from these 4 ASX stocks today?

None of these four top-performing ASX lithium shares have official announcements in the market today.

Liontown's share price rise comes amid top broker Citi downgrading the stock to a sell rating with a 12-month share price target of 75 cents. You can find out why here.

The post 4 popular ASX lithium shares going gangbusters on Tuesday appeared first on The Motley Fool Australia.

Four ASX shares that are rising more than most today are listed below. Here's why they are pushing higher:

Latin Resources Ltd (ASX: LRS)

The Latin Resources share price is up 50% to 18 cents. This morning, this lithium developer announced that it has agreed to be taken over by industry giant Pilbara Minerals Ltd (ASX: PLS). The deal will see Latin Resources shareholders receive 0.07 new Pilbara Minerals shares for each Latin Resources share held. This will mean they own ~6.4% of Pilbara Minerals' shares upon implementation of the scheme. At yesterday's close, this valued the offer at 19.95 cents per share, which represented a 66.3% premium to where Latin Resources' shares ended Wednesday's session.

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price is up 9% to $10.58. Investors have been buying this fund manager's shares following the release of its full year results. Despite Magellan reporting a 25% reduction in its funds under management to $36.6 billion, this didn't stop the company from growing its profits. Magellan posted a 31% jump in statutory net profit after tax to $238.8 million. This allowed the company to declare a final dividend of 28.6 cents per share. It also declared a performance fee dividend of 7.1 cents per share.

Pro Medicus Limited (ASX: PME)

The Pro Medicus share price is up a further 3% to $145.49. This health imaging technology company's shares have been on fire since the release of its FY 2024 results on Wednesday. Pro Medicus reported a 29.3% increase in revenue to $161.5 million and a 36.5% lift in net profit to $82.8 million. This was ahead of the consensus estimate of $161.1 million for revenue and $80 million for net profit after tax. In response, this morning Goldman Sachs reiterated its buy rating and lifted its price target to $149.00.

Telstra Group Ltd (ASX: TLS)

The Telstra share price is up 2.5% to $3.96. Investors have been buying the telco giant's shares after it released its full year results and reported a 1% increase in total income to $23.5 billion and a 3.6% lift in underlying EBITDA to $8.2 billion. This allowed the Telstra board to increase its full year dividend by 5.9% to a fully franked 18 cents per share. Management is guiding to further underlying EBITDA in FY 2025 and narrowed its guidance range to $8.5 billion to $8.7 billion (from $8.4 billion to $8.7 billion).

The post Why Latin Resources, Magellan, Pro Medicus, and Telstra shares are pushing higher today appeared first on The Motley Fool Australia.

At the time of writing, the lithium giant's shares are down 3% to $2.76.

Why are Pilbara Minerals shares tumbling?

Investors have been hitting the sell button today after responding negatively to news of a lithium acquisition in Brazil.

According to the release, the company has entered into a binding scheme implementation agreement (SIA) that will see it acquire 100% of the shares in Latin Resources Ltd (ASX: LRS) by way of a Court-approved scheme of arrangement.

The deal will see Latin Resources shareholders receive 0.07 new Pilbara Minerals shares for each Latin Resources share held. This will mean they own ~6.4% of Pilbara Minerals' shares upon implementation of the scheme.

So, with Pilbara Minerals shares ending yesterday's session at $2.85, this values its offer at 19.95 cents per share. This represents a 66.3% premium to where Latin Resources' shares last traded.

The Latin Resources board has unanimously recommended the scheme in the absence of a superior proposal and subject to the independent expert's report. Its directors and largest shareholder also plan to support the offer under the same qualifications.

Why acquire Latin Resources?

Management notes that the deal will add Latin Resources' flagship Salinas Lithium Project to its portfolio.

It highlights that this project has the potential to become a top 10 hard rock lithium operation by production globally (excluding Africa) and is located in the world class mining jurisdiction of Minas Gerais, Brazil.

It immediately adds ~20% to Pilbara Minerals' mineral resources and will contribute up to ~30% of pro-forma steady state production at a cost base that is expected to be competitive with Pilgangoora. In addition, it provides the company with new supply opportunities into the North American and European battery markets.

Pilbara Minerals' managing director and CEO, Dale Henderson, was excited with the deal. He said:

We are excited to announce the acquisition of Latin Resources. This acquisition is on-strategy, diversifying the business with what we believe is a counter-cyclical, accretive extension that further builds out Pilbara Minerals' position as one of the leading lithium materials suppliers globally.

The acquisition will deliver our second 100% owned, Tier 1, hard rock lithium asset, which is expected to be low-cost and accretive for our shareholders. It provides Pilbara Minerals with optionality to sequence new supply and diversify into new growth markets for lithium such as Europe and North America.

Latin Resources' managing director, Chris Gale, adds:

The Scheme announced today provides Latin Resources shareholders with an exciting opportunity to become shareholders in the world's largest pure play hard rock lithium producer, diversified across Tier 1 projects in Australia and Brazil. In addition to delivering an attractive premium, this transaction allows Latin Resources shareholders to retain ongoing, but significantly de-risked, exposure to the development of Salinas.

The post Pilbara Minerals shares tumble on big acquisition news appeared first on The Motley Fool Australia.

The company will shut down half of its lithium processing facility in Western Australia and halt construction on further expansions, leading to 300 job losses.

This move comes in response to a prolonged slump in lithium prices, which are down more than 85% from their peak. Currently, the battery metal is priced at CNY 83,500 per tonne.

The spillover has had mixed impacts on the basket of ASX lithium shares today. Here is the spread at the time of writing:

• Pilbara Minerals Ltd (ASX: PLS) shares are up nearly 5%
• Core Lithium Ltd (ASX: CXO) shares are down 1.5%
• IGO Ltd (ASX: IGO) shares are up less than 0.5%
• Liontown Resources Ltd (ASX: LTR) shares are down 2.5%
• Sayona Mining Ltd (ASX: SYA) shares are down 1.6%
• Lake Resources (ASX: LKE) shares have surged over 4%
• Latin Resources Ltd (ASX: LRS) are down 1.7%
• Mineral Resources Ltd (ASX: MIN) shares are down less than 0.5%

Let's take a look at what's unfolded today.

Market conditions create headwinds

The price of spodumene concentrate, a primary source of lithium, has plummeted more than 85% from its 2022 highs.

This sharp decline has pressured many lithium producers and explorers, leading to job losses and operational shutdowns across the sector. ASX lithium shares have borne the brunt of this.

This is despite government support for the sector.

According to The Australian Financial Review, the government had recently announced a $17.6 billion critical minerals production tax incentive to attract processing facilities to Australia.

Albemarle noted this in its decision to size down operations here in Australia.

[The. company] today announced it has launched a comprehensive review of its cost and operating structure, as well as immediate asset actions at its Kemerton lithium processing site in Australia.

The company is taking these steps to proactively respond to ongoing industry headwinds, particularly in the lithium value chain, so it can preserve long-term competitiveness. 

The question is, what's next for Albemarle? The company says it plans to focus on ramping up its existing facilities and will explore further expansion only if market conditions improve.

Last year, the company also acquired Western Lithium, which holds exploration tenements in the Pilbara.

The mining giant will maintain a workforce of 460 people at its Kemerton plant and 40 staff in its Perth office. It still intends to begin an exploration program in Australia later this year.

Impact on ASX lithium shares

The overall impact on the ASX lithium basket has been mixed, as shown in the list above. Some stocks are up, and some are down. So there's hardly been a ripple effect.

It's also important to recognise that the market might need some time to digest the impacts fully.

Whilst not an ASX lithium share, Monadelphous Group Ltd (ASX: MND) has been directly impacted by Albemarle's decision.

The engineering company's contract for construction at Albemarle's Kemerton project has been terminated, leading to an estimated $200 million reduction in its current construction work-in-hand.

This news has already caused a more than 5% drop in Monadelphous' share price.

Takeaway

ASX lithium shares continue to show mixed results in 2024. The price of the underlying commodity, in addition to moves such as Albemarle's today, underscores the short-term challenges in the sector.

In my opinion, the market will need a few days to fully digest the magnitude of the decision.

The post Global lithium giant Albemarle has big news: Here are the ASX shares being impacted appeared first on The Motley Fool Australia.

The ASX 300 lithium stock has lost over 45% of its value since the middle of May.

This has left its shares trading at 15 cents, which is down by approximately 63% on a 12-month basis.

Should you buy the dip?

Analysts at Bell Potter believe that huge returns could be on the cards for buyers of this beaten down ASX 300 lithium stock.

This is because of the potential of the Salinas Lithium Project in Brazil, which the broker believes could be operational in 2026. It commented:

The Salinas global MRE is now 77.7Mt grading 1.24% Li2O (compared with the December 2023 estimate of 70.3Mt at 1.27% Li2O). Importantly, the Measured & Indicated [M&I] component of the Colina deposit (within the global MRE) is now 67.3Mt grading 1.27% Li2O (previously 41.0Mt at 1.36% Li2O).

LRS is actively progressing permitting, offtake and financing to support a Final Investment Decision at Salinas by the end of 2024. Commencement of development in 2025 could enable first production in 2026. Financing and lithium offtake proposals have been received and are being assessed. The DFS is expected to be based on a similar scale project to the September 2023 Preliminary Economic Assessment. The PEA outlined ramp-up to 3.6Mtpa mining and processing rates to ultimately support +500ktpa Spodumene Concentrate production. Based on the PEA throughput assumptions, the current M&I MRE could support a +15 year project life.

Big returns tipped for this ASX 300 lithium stock

According to the note, Bell Potter currently has a speculative buy rating and 40 cents price target on the lithium explorer's shares. Based on its current share price, this implies potential upside of almost 170% for investors over the next 12 months.

To put that into context, a $1,000 investment could turn into approximately $2,700 if Bell Potter is on the money.

However, as we have seen before with this ASX 300 lithium stock (and others), those funds could also become significantly smaller if things don't improve in the industry. For that reason, this is certainly only an investment option for investors with a high risk tolerance.

Bell Potter concludes:

Key value catalysts this year are now the initial Reserves and DFS, offtake contracts, financing outcomes and FID. Colina has the potential to deliver new lithium supply into what we expect to be structurally short markets. Uncommitted offtake and an open share register provide further strategic appeal. Our valuation is $0.40/sh (unchanged). LRS is a project development company with prospective operations and cash flows only. Our Speculative risk rating recognises this higher risk and volatility of returns.

The post Down 45% since May, is it time to buy this beaten-up ASX 300 lithium stock? appeared first on The Motley Fool Australia.

Despite this there's some light in the ASX lithium basket today, with two shares catching a bid on positive announcements – Lake Resources N.L. (ASX: LKE) and Latin Resources Ltd (ASX: LRS).

Lake Resources is trading 5% higher at 3.6 cents per share at the time of writing. Meanwhile, Latin Resources had surged 3% higher on the day but now trades flat at 15.55 cents apiece.

Let's dive into the announcements.

ASX lithium share raises $2.5 Million

Lake Resources announced a successful $2.5 million capital raise through an at-the-market subscription agreement with Acuity Capital. The firm is said to specialise in these kinds of transactions.

The capital raise involved issuing 65 million fully paid Lake Resources ordinary shares at an issue price of 3.85 cents apiece. This is slightly below the 15-day volume-weighted average price of 3.88 cents, according to the update.

Funds raised from the agreement will be used to bolster Lake Resources' balance sheet, the ASX lithium share says, allowing it to focus on works at its Kachi project. Per the company:

The funds will be used to strengthen the Company's balance sheet as it continues progressing (i) its ongoing strategic priorities for Kachi and (ii) the potential sale of non-core assets and lithium tenements located in Jujuy and Catamarca Provinces as outlined in the Company's announcement dated 1 July 2024.

Despite today's action, the ASX lithium share is down more than 84% in the last 12 months.

Latin Resources reports drilling results

In a separate update, ASX lithium player Latin Resources reported drilling results from its Planalto Prospect. The site is located at Latin's fully owned Salinas Lithium Project in Brazil.

The latest drilling results have confirmed a thick, high-grade core of mineralisation extending down dip and up-plunge to the southwest.

Notably, one drill hole named SADD320 revealed a resource depth of more than 16 metres, with concentrations of 2.18% lithium (Li2O) from a depth of 293 metres.

The company plans to release a preliminary mineral resource estimate (MRE) for the Planalto Prospect in Q3 CY 2024, pending all assay results.

Tony Greenaway, VP of operations for the Americas at Latin Resources, highlighted the similarities between the Planalto and the company's Colina deposit, also located at the Salinas site.

While the stacked pegmatite lenses at Planalto show a shallower dip to those at Colina, the coarse grained Spodumene only mineralisation is consistent with what we see at Colina. The latest drilling has highlighted an up-dip trend to the high-grade core of mineralisation which will now become the focus of additional drilling.

Bell Potter recently expressed a bullish outlook on the ASX lithium share, citing the company's potential to deliver new lithium supply into structurally short markets.

The broker has a speculative buy rating on Latin Resources shares, with a price target of 40 cents.

Foolish takeaway

Following today's updates, these two ASX lithium players have caught investor attention. Latin Resources stock is down more than 56% in the past 12 months, with Lake shares ahead of that.

With the price of lithium at a low, the outlook for the sector remains mixed.

The post Why these 2 ASX lithium shares are getting a boost today appeared first on The Motley Fool Australia.

Four ASX shares that are not letting that hold them back today are listed below. Here's why they are rising:

Aurora Labs Ltd (ASX: A3D)

The Aurora Labs share price is up 6.5% to 9.9 cents. This morning, this industrial technology company announced the maiden aerial test flight for its 200 Class micro gas turbine in regional Western Australia. Management notes that test flight aimed to validate the performance and functionality of its in-house 3D printed engine. The good news is the micro gas turbine performed to specification, producing 22kg of thrust at full throttle. Aurora Labs' CEO, Rebekah Letheby, said: "A3D's development of the 3D printed turbine underscores our commitment to innovation, positioning the Company at the forefront of micro gas turbine technology development advancing new frontiers."

Coronado Global Resources Inc (ASX: CRN)

The Coronado Global share price is up over 5% to $1.32. Investors have been buying this coal miner's shares following the release of its quarterly update. The miner had a strong quarter, reporting group ROM coal production up 23.8% to 7.4Mt and group saleable production up 21.5% to 4.1Mt. Another positive was that its group average mining costs per tonne sold were down 27.5% to US$91.10 per tonne for the quarter. In light of this solid performance, management has reaffirmed its FY 2024 guidance.

Latin Resources Ltd (ASX: LRS)

The Latin Resources share price is up 1.5% to 15.3 cents. This follows the release of an update on the Planalto Prospect exploration drilling program at the lithium developer's 100% owned Salinas Lithium Project in Brazil. Management notes that the latest drilling results have confirmed the presence of a thick high-grade core of mineralisation which extends down dip and up-plunge to the south-west.

Newmont Corporation (ASX: NEM)

The Newmont Corporation share price is up 1% to $72.13. This has been driven by the release of the gold miner's second quarter update. For the three months, Newmont produced 1.6 million attributable ounces of gold along with 477,000 gold equivalent ounces. This underpinned the generation of US$1.4 billion of cash from operating activities and US$594 million in free cash flow. Looking ahead, management advised that it is on track to meet its 2024 guidance for production, costs and capital spend. This is expected to be driven by an improvement in production in the second half, which will be weighted towards the fourth quarter.

The post Why Aurora Labs, Coronado Global, Latin Resources, and Newmont shares are rising appeared first on The Motley Fool Australia.

Most lithium producers and explorers rocketed higher in 2022 and into 2023 as the price of the battery critical metal they dig from the ground hit all-time highs.

But with demand growth slowing and supply growth ramping up, that trend reversed resulting in an 85% collapse in global lithium prices from those record prices.

While prices have somewhat stabilised in 2023, many of the ASX lithium shares with higher costs have found themselves operating at a loss. Some have gone so far as to suspend production, awaiting the return of better market prices.

As for the risk of investing in the lithium miners in the past year, here's how these top-name stocks have performed over 12 months:

• Pilbara Minerals Ltd (ASX: PLS) shares are down 40%
• Core Lithium Ltd (ASX: CXO) shares are down 87%
• IGO Ltd (ASX: IGO) shares are down 61%
• Liontown Resources Ltd (ASX: LTR) shares are down 66%
• Sayona Mining Ltd (ASX: SYA) shares are down 82%
• Lake Resources (ASX: LKE) shares are down 87%
• Latin Resources Ltd (ASX: LRS) are down 51%
• Patriot Battery Metals Inc (ASX: PMT) are down 67%
• Mineral Resources Ltd (ASX: MIN) are down 20%

I think those figures speak to the formidable risks on investing in ASX lithium shares.

At least for the year just past.

But what about the year ahead?

Are ASX lithium shares still very risky?

To be clear, every investment comes with its own unique risks.

As for the particular risk of investing in ASX lithium shares, we'll defer to Blackwattle Investment Partners.

Here's what the fund managers reported on Blackwattle's own investments and outlook for the Aussie lithium miners.

In June, the Blackwattle Small Cap Quality Fund lost ground on its Latin Resources and Patriot Battery Metals holdings. Blackwattle noted that the lithium commodity price continued to follow a volatile trading pattern over the month.

As for those risks, the fund manager added:

Perversely, when considering investments in the resources sector, the risk is the lowest when commodity prices are falling toward the lower end of the cost curve for mining companies with tier-one assets.

At current spodumene lithium prices, few hard rock miners are generating much free cash flow today. As such, we continue to maintain modestly sized holdings in the lithium sector. In our view projects with superior economics like Latin Resources and Patriot Metals are well placed to ride out near-term volatility in the lithium price.

Noting that it will take some time for the supply and demand dynamics in lithium markets to balance, Blackwattle said, "At current prices, new projects, such as Pilbara Minerals' P2000, don't stack up."

However, the fund managers are more optimistic about the outlook of Arcadium Lithium (ASX: LTM) after the ASX lithium share plunged 26% in June.

Arcadium, as you may know, started trading on the ASX in December, formed from the merger of the previously ASX-listed Allkem and US-listed Livent.

According to Blackwattle:

The merger has created a quality, vertically integrated global lithium chemicals producer with a significant synergy opportunity & production growth upside.

We see significant upside for LTM outside any moves from the lithium price, as the new business looks to maximise the merger potential through synergies, driving cost & capex reductions as well as improved pricing.

We view a potential rebound in lithium prices at some point as option value.

Foolish takeaway

So, is investing in ASX lithium shares right now risky?

You bet.

But could buying some of the beaten-down, low-cost producers also pay off handsomely over the longer run?

I certainly think it could.

Just don't invest more than you're prepared to lose.

The post How risky is buying ASX lithium shares right now? appeared first on The Motley Fool Australia.

Shares in Latin Resources Ltd (ASX: LRS), Telix Pharmaceuticals Ltd (ASX: TLX), and Ora Banda Mining Ltd (ASX: OBM) have all caught a strong bid from investors in trading on Thursday.

Here's a look at what's spurring each of these ASX All Ords shares today.

Telix reaches 52-week high on key announcement

Telix Pharmaceuticals kicks off the list. The healthcare player is up over 11% at the time of writing and trading at $19.73 apiece. Today's high also represents a 52-week high for the stock.

The spike comes after the ASX All Ords share made a key announcement.

It said the US Centers for Medicare & Medicaid Services (CMS) proposed changes to improve payments for diagnostic radiopharmaceuticals (DRs).

In the US, costs for DRs are currently "packaged" together with other nuclear medicine scans. Telix says the CMS proposal could "improve the accuracy of overall payment amounts" by separating them into individual categories.

This could impact payments for the company's Illuccix diagnostic imaging kit, potentially making it more accessible.

Telix's CEO, Kevin Richardson, welcomed the proposal, stating, "The proposed rule will facilitate more equitable access to advanced imaging for all patients." He too is bullish on Telix long term.

We commend the vision of CMS and the coalition for raising awareness about the necessity to reform the payment system to enhance patient outcomes and access.

The All Ords share has rallied hard in 2024 and is up 95% this year to date. Today's price is a 52-week high for the gold miner.

Ora Banda Mining rallies on update

Ora Banda Mining is another ASX All Ords share that's caught a strong bid today. Its stock price is up 14% to 40.5 cents pear share as I write.

Investors also reacted positively to a company announcement today. The company said that the development of its Sand King Underground mine has been approved. The mine is located at the Davyhurst Gold Project in Western Australia.

Consequently, the project is expected to lift the ASX All Ords share's gold production to 150,000 ounces per annum by FY26. This is up from the current guidance of 100,000 to 110,000 ounces for FY25.

Ora Banda's CEO, David Quinlivan, stated:

The approval of Sand King Underground is a significant step towards achieving our production targets and enhancing shareholder value." This development has clearly resonated with the market, leading to today's gains.

Additionally, Ora Banda shares are up over 70% this year to date.

Latin Resources finds bottom

Latin Resources shares are also up around 10% currently, swapping hands at 17.5 cents per share.

Whilst the company today offers nothing market-sensitive, the stock has been stuck in a sharp downtrend. It peaked at 28 cents per share on 22 May and has sold off sharply since.

After sliding 38% this year to date, the All Ords share may have found a bottom at yesterday's close.

Bell Potter is bullish on the stock and recently highlighted the company's potential, noting the updated Mineral Resource Estimate (MRE) for its Salinas Lithium Project in Brazil. 

Latin Resources is also "well-positioned to deliver new lithium supply into structurally short markets", Bell Potter said.

Bell Potter also has a speculative buy rating on the ASX All Ords share, with a price target of 40 cents. This would imply a potential upside of 128%.

Latin Resources shares are down 38% this year to date.

ASX All Ords shares in focus

These 3 ASX All Ords shares are all up 10% or more today. There's no telling where they may head from here. As always, remember the risks.

The post 3 ASX All Ords shares rocketing over 10% today appeared first on The Motley Fool Australia.

If you are, then it could be worth considering the three ASX lithium stocks listed below.

These lithium shares have just been named as buys by brokers this month and could generate decent returns. Here's what they are saying about them:

Arcadium Lithium (ASX: LTM)

Bell Potter remains very positive on the lithium industry and believes that Arcadium Lithium's beaten down shares offer significant value for money.

It has the lithium giant on its favoured list due to partly to its diversified exposure to lithium and significant production growth potential. The broker said:

LTM provides the largest, most diversified exposure to lithium in terms of mode of upstream production, asset locations, downstream processing and customer markets. It is a key large-cap leverage to lithium prices and sentiment, which we expect to improve over the medium term. The group has a strong balance sheet and growth portfolio.

Bell Potter has a buy rating and $9.50 price target on its shares.

IGO Ltd (ASX: IGO)

Goldman Sachs may be bearish on lithium, but it is bullish on this ASX lithium stock.

This is due largely to the company's low costs. It feels this leaves IGO well-positioned to navigate the current environment of low prices. It said:

Greenbushes is the lowest cost lithium asset in our coverage. Production growth more than offsets increasing strip ratio: The addition of CGP3 (under construction) and CGP4 (planned) should take Greenbushes production capacity from ~1.5Mtpa today to ~2.4Mtpa (excluding tailings processing of ~0.3Mtpa), and they are planned to be funded from existing Greenbushes debt facilities, combined with Greenbushes cash flows (though we factor in below nameplate). We reiterate our belief that further Greenbushes expansion remains one of the most economically compelling brownfield lithium projects.

Goldman has a buy rating and $8.10 price target on IGO's shares

Latin Resources Ltd (ASX: LRS)

A speculative option for investors to consider buying is Latin Resources.

It is an ASX lithium stock that is developing the 100% owned Salinas Lithium Project in Minas Gerais, Brazil.

Bell Potter was pleased with its recent mineral resource estimate at the Colina deposit. And given its bullish view on the lithium market, it sees the company as well-positioned for the future. It said:

Colina has the potential to deliver new lithium supply into what we expect to be structurally short markets. Uncommitted offtake and an open share register provide further strategic appeal.

Bell Potter has a speculative buy rating and 40 cents price target on its shares.

The post 3 ASX lithium stocks to buy in June 2024 appeared first on The Motley Fool Australia.

That's because analysts at Bell Potter believe the ASX lithium stock could deliver very big returns for investors over the next 12 months.

What is the broker saying about the ASX lithium stock?

Bell Potter notes that Latin Resources has updated the mineral resource estimate for its Salinas Lithium Project in Brazil. It was pleased to see that it has increased since its last update. It said:

LRS has announced an updated Mineral Resource Estimate for its 100% owned Salinas Lithium Project located in Minas Gerais, Brazil. The Salinas global MRE is now 77.7Mt grading 1.24% Li2O (compared with the December 2023 estimate of 70.3Mt at 1.27% Li2O). Importantly, the Measured & Indicated component of the Colina deposit (within the global MRE) is now 67.3Mt grading 1.27% Li2O (previously 41.0Mt at 1.36% Li2O). Infill drilling at Colina is now complete and this large M&I component will form the basis of an initial Reserve estimate and Definitive Feasibility Study due for release in the September 2024 quarter.

The broker highlights that the ASX lithium stock is now in the process of preparing a final investment decision by the end of the year. And if all goes to plan, development at Salinas could commence next year and production the year after. It adds:

LRS is actively progressing permitting, offtake and financing to support a Final Investment Decision at Salinas by the end of 2024. Commencement of development in 2025 could enable first production in 2026. Financing and lithium offtake proposals have been received and are being assessed. The DFS is expected to be based on a similar scale project to the September 2023 Preliminary Economic Assessment. The PEA outlined ramp-up to 3.6Mtpa mining and processing rates to ultimately support +500ktpa Spodumene Concentrate production. Based on the PEA throughput assumptions, the current M&I MRE could support a +15 year project life.

Big returns

Bell Potter has responded to the update by retaining its speculative buy rating and 40 cents price target on the ASX lithium stock.

Based on its current share price of 26 cents, this implies potential upside of 53% for investors over the next 12 months. If this proves accurate, a high risk investment of $10,000 would turn into over $15,000.

The broker then summarised its bullish view on the stock. It said:

Colina has the potential to deliver new lithium supply into what we expect to be structurally short markets. Uncommitted offtake and an open share register provide further strategic appeal.

The post Guess which ASX lithium stock could rise over 50% appeared first on The Motley Fool Australia.

Four ASX shares that are not letting that hold them back today are listed below. Here's why they are rising:

Latin Resources Ltd (ASX: LRS)

The Latin Resources share price is up 7.5% to 21.5 cents. This follows the release of the lithium developer's quarterly update. Management spoke positively about the progress it is making at the 100% owned Salinas Lithium Project in Brazil. This includes the discovery of a third major spodumene discovery, named Planalto. It said: "This has been another impressive quarter for Latin Resources, with significant progress made at the Salinas Lithium Project including the unearthing of the Planalto prospect, our third major discovery for the Project."

Newmont Corporation (ASX: NEM)

The Newmont share price is up 13% to $65.31. This follows the release of the gold mining giant's quarterly update. Newmont reported a 4% decline in gold production to 1,675,000 ounces. However, this could not stop the company from delivering strong profit growth. The Newcrest owner's adjusted net income came in at US$630 million or US$0.55 per diluted share. This is an increase of 39.4% and 19.5%, respectively, on the prior quarter. The latter was notably better than the consensus estimate at US$0.36 per share.

Nick Scali Limited (ASX: NCK)

The Nick Scali share price is up 13% to $15.91. This morning, this furniture retailer's shares returned from a trading halt following the completion of its institutional placement. Nick Scali has raised $46 million via a fully underwritten institutional placement of approximately 3.5 million new shares at a price of $13.25 per new share. Management advised that the institutional placement was strongly supported by both existing shareholders and new institutional investors. The proceeds will be used to support the company's expansion into the UK market.

ResMed Inc. (ASX: RMD)

The ResMed share price is up 7% to $30.81. Investors have been buying this sleep disorder treatment company's shares following the release of its quarterly update. ResMed reported a 7% increase in third-quarter revenue to US$1.2 billion. This was driven by increased demand for sleep devices, as well as strong growth across its mask product portfolio. And thanks to a stronger-than-expected gross margin, ResMed's income from operations grew 25% to US$374.6 million and its diluted earnings per share rose 29% to US$2.04 per share.

The post Why Latin Resources, Newmont, Nick Scali, and ResMed shares are surging today appeared first on The Motley Fool Australia.

That's because lithium stocks tend to see big moves not just from changes in the spot price of lithium, but also from regularly shifting forecasts for the pricing outlook.

And those forecasts have varied widely over the past year.

As for the spot market, lithium prices are down some 80% from the November 2022 highs. And over the shorter term, there's unlikely to be a rapid rebound.

Despite some producers, like Core Lithium Ltd (ASX: CXO), suspending mining operations amid the depressed prices, global supply growth looks like it will continue to exceed demand growth over the coming months. Especially with EV sales growth rates in the United States and China slowing markedly.

Which brings us to two ASX lithium shares that Blackwattle Investment Partners analysts Robert Hawkesford and Daniel Broeren "are well placed to ride out near-term volatility in the lithium price".

Two ASX lithium shares to weather the storm

As Blackwattle notes:

Lithium stocks had a challenging start to January as former Small Ords member, Liontown Resources Ltd (ASX: LTR), reported that its major funding partner had pulled a $760 million debt package over concerns of project sustainability.

That added more unwanted volatility to the sector.

Rescinding the debt package, Hawkesford and Broeren said, "resulted in the sell-down of shares for all lithium developers still in need of capital".

But the analysts cite a crucial difference between Liontown and small-cap ASX lithium shares Patriot Lithium Ltd (ASX: PAT) and Latin Resources Ltd (ASX: LRS).

According to Blackwattle:

An important distinction, however, is that while Liontown has a large resource asset, it is a complex and high-cost project at around US$750/ton. This compares to Latin Resources, for example, with a proposed cost base closer to US$540/ton.

In our view projects with superior economics like Latin Resources and Patriot Metals are well placed to ride out near-term volatility in the lithium price.

For the three months ending 31 December, Latin Resources reported a 41% increase to the Colina Deposit Mineral Resource Estimate (MRE) at its Salinas Lithium Project, located in Brazil. The MRE now totals 63.5 million tonnes at 1.3% Li2O.

Patriot reported its quarterly results on 30 January.

Over the three months, the microcap ASX lithium share completed its Phase 3 exploration program at its Gorman Project, located in Canada.

The miner noted that Gorman is along trend and 68 kilometres from Frontier Lithium's (CVE: FL) PAK-Spark Lithium Project. This counts among the largest, highest-grade lithium deposits in North America with a resource of 58.5 million tonnes.

The post 2 ASX lithium shares 'well placed to ride out near-term volatility' appeared first on The Motley Fool Australia.

In afternoon trade, the lithium developer's shares are up almost 18% to 16.5 cents.

Though, this doesn't change much on a six-month basis, with the company's shares still down by over 50% since this time in August.

Why are Latin Resources shares surging?

Investors have been buying Latin Resources and other ASX lithium shares today following improving sentiment in the industry.

This appears to have been driven by a strong night of trade on global markets for lithium stocks. This saw Ganfeng Lithium jump 8%, Tianqi Lithium leap 7%, Albemarle rise 4%, and Lithium Americas Corp climb 7%.

In addition, there has been some news related to Latin Resources that could be catching the eye of investors.

The AFR is reporting that the terms are now out for the company's spin-off of its exploration projects under the name of Maverick Minerals.

Maverick Minerals is reportedly seeking to raise $5 million at 20 cents per share. This will give it a market capitalisation of $8.6 million at listing.

Latin Resources will still hold onto 16% of the lithium explorer, with its existing shareholders given first dibs on up to 50% of Maverick stock under its IPO book build.

Which projects does it own?

Following the completion of its IPO, Maverick Minerals will own projects in Western Australia, New South Wales, Victoria, and Ontario, Canada.

Its Western Australian projects include the Laverton Downs Project, the Shelby Project, the Kathleen Project, and the Albert Project.

Whereas its New South Wales and Victoria projects include the Lachlan Fold Belt Project. And finally, its Canadian Projects include the Luka Lithium Project, the Marion Project, the Sollas Lake Lithium Project, and the Muriel Lithium Project.

Maverick Minerals shares are scheduled to commence trade on the ASX boards on 6 March.

The post Latin Resources shares up 18% as Maverick lithium IPO nears appeared first on The Motley Fool Australia.